Treasury and Finance Minister BeratAlbayrak, who will announce details of a medium-term economic plan next week, has promised cost-cutting measures and more efficient spending.

The bank on Thursday raised its key rate from 17.75 percent to 24 percent to stem a currency crisis.

The bank had not touched interest rates since early June with markets becoming increasingly concerned that the policy of the nominally independent bank is being dictated by Erdogan.

Uncertainty around the global outlook for trade was highlighted by the European Central Bank, which on Thursday kept policy unchanged as expected and warned that risks from protectionism were gaining prominence.

The lira firmed to 6.01 against the dollar following the decision, from more than 6.4176 beforehand. "How can the private sector invest in such high interest rates?" he asked, adding that such margins were only made by drugs dealers.

Turkey is battling double-digit inflation, which surged to almost 18 percent in August, and a meltdown in the lira which hit a record low of 7.24 against the US dollar a month ago.

Erdogan, a self-styled "an enemy of interest rates", has cast the lira crisis as an "economic war" targeting Turkey and has repeatedly urged Turks to sell their dollar savings to shore up the lira. In August, the bank tightened liquidity to counter the lira's slide, shifting funding from repo auctions to the upper band of its interest rate corridor - raising the effective cost of funding by 150 basis points to 19.25 per cent.

Florence pours on the rain amid fears of catastrophic floods
Two others died in the state from carbon monoxide poisoning caused by a generator inside their home, according to a local coroner. As much as 30 to 40 inches (76-102 cm) of rain could fall on coastal areas in North and SC , the National Hurricane Center said.

Apparently not ruling out further rate hikes, it vowed to "use all available instruments in pursuit of the price stability objective". "By saying the central bank is independent while criticizing it for misguided policies, Erdogan is pointing the finger of blame at the central bank".

He earlier charged the bank with failing to control inflation and again aired his unorthodox view that low rates bring inflation down.

The interest rate decision was eagerly awaited. You see that in mid-year, it revises the inflation rates.

"Accordingly, the Committee has chose to implement a strong monetary tightening to support price stability", the monetary policy committee statement said.

Purchase, sales and rental contracts of moveable and immovable properties and vehicle leasing made in foreign currencies will be converted into Turkish lira within 30 days, according to the decree.

Share

Related Articles

North Carolina Governor Roy Cooper said the storm was posing an even greater risk of flooding than when it first made landfall. In the town of New Bern , homes were completely surrounded by water, and rescuers had to use inflatable boats to reach people.

And what that means is you can't criticise minority groups for poor behaviour. "Mark has the full support of everyone here". The cartoon was intended as a lampoon of the tennis star's angry exchanges with chair umpire Carlos Ramos at the U.S.

The new Apple watch has watchOS 5 and is set with new revolutionary health capabilities, the official Apply press release states. Apple Watch 4 vs Apple Watch 3: What features does it have? The 40mm version starts at $399 while the 44mm frame will cost $429.

At least five people have died during Hurricane Florence after the storm made landfall on the North Carolina coast on Friday. We still don't know for sure how many people died when the storm hit and because of the horrific flood in the few days after.

The exercises will be held across nine training ranges and three seas: the Sea of Japan, the Bering Sea and the Sea of Okhotsk. The week-long drills come at a time of heightened North Atlantic Treaty Organisation tensions with Russian Federation .

State Transportation Department Secretary Christy Hall said Thursday that an estimated 421,000 residents had left the coast. The full impact of the storm surge on the coast will depend on whether the storm's arrival coincides with high tide.

The Vatican said Wednesday the leaders of the national bishops' conferences would meet with Pope Francis from February 21 to 24. A church report there found more than 1,600 priests and clerics had abused more than 3,600 minors in a almost 70-year period.

For a swath of the North Carolina shore from Cape Fear to Cape Lookout, the storm surge could range from 9-13 feet, the NHC said. Florence is expected to start bringing tropical storm force winds to the Carolinas late Thursday.

Britain risks its first recession in nearly a decade if it drops out of the European Union without a deal, according to Moody's. Dr Adam Marshall, director general of the British Chambers of Commerce, added that key questions remained unanswered.

Latest news

Trump says U.S. under 'no pressure' for China trade deal
Trump's tariffs are unpopular , and with the midterm elections just two months away, it's a lousy time to escalate his trade war . China announces tariffs in retaliation to the steel and aluminium duties and promises a response to the latest U.S. announcement.

Hurricane Florence Floods New Bern, North Carolina
She said 61 shelters had opened thus far, including 12 that are specially outfitted to help people with special medical needs. The storm is expected to linger, dumping several centimeters of rain in affected areas and causing widespread destruction.

Pogba staying at Manchester United for now
The 25-year-old midfielder fell out of favour last season and was linked with a move to La Liga champions Barcelona in the summer. Mourinho has tried to diffuse the situation recently by saying he "couldn't be happier" with Pogba .

David Haye Rips Golovkin vs Canelo Rematch
The 160-pound titles are at stake once again as the two fighters try to settle what they couldn't in last September's draw. Canelo Alvarez (left) and Gennady Golovkin are held back after facing off during their official weigh-in.

'Extremely dangerous' Hurricane Florence approaches Carolinas
Our coast is under a hurricane watch and will likely take the first hit.Rain in some places will be measured in feet, not inches. The middle of the cone shows Florence coming ashore around Topsail Island - a slightly southern tweak from earlier projections.

Flash flood fears as Storm Florence batters US
The couple said they would have had to travel too far inland to find a hotel that would have accepted their animals as guests. So far, Virginia, North Carolina, South Carolina, Maryland, and the Washington D.C. have all declared states of emergencies.

Putin says Russia's defence ties with China based on trust
Japanese Prime Minister Shinzo Abe travels to Vladivostok for bilateral discussions with Russia's President Vladimir Putin today. It is not the first time to cook together; In June when Putin visited he made a Chinese pancake which was later served to Xi.